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"Your Majesty, this stock must not be allowed to run rampant!"

Cabinet minister Zhu Shunshui was the first to stand up and object.

He encourages private economy and technological innovation, but he only focuses on real industries and is very disgusted with things like stocks.

Wu Yingji also said: "The original intention of raising funds and issuing stocks is quite good, and it can relieve the temporary difficulties of businesses. However, the stock price is short-selling. The stock price has increased tenfold, and neither a grain of rice nor a pot has been produced. This thing People who are ignorant of people's minds, or those who like to gamble, will end up ruining their families and people. If the people in the whole city like this, once the stock price plummets, many people will lose their entire family."

Wu Yingji knew a lot about economics and participated in assisting Song Yingxing in compiling "Economic Knowledge", which has been renamed "Economic Theory".

These two stood up to oppose, and other cabinet ministers immediately joined in, all resisting the establishment of the stock exchange.

Zhao Han asked Fei Chun: "You have been managing Datong Bank and the Ministry of Finance for a long time. What are your opinions on this?"

"It can't be suppressed." Fei Chun neither agreed nor objected. He only said these four words.

"How can it be suppressed?" Wu Yingji said, "But if there is a public offering of shares, the trading company license will be revoked. In the long run, no one will dare to issue shares again."

Fei Chun said: "Mr. Wu Ge also said that the original intention of raising funds and issuing shares was quite good, but he was afraid of private short-selling. However, short-selling has been around for a long time, and it is everywhere in Jiangsu, Zhejiang and Shandong. The merchants were a year in advance, and they Cotton farmers sign a contract and agree on how much cotton to purchase in the coming year. No matter what the cotton market is like next year, they are not allowed to lower or lower the price."

"I know about this," Wu Yingji nodded and said, "But if you buy cotton in advance, you will have something physical after all, unlike stocks which are just a piece of paper."

Fei Chun smiled and said: "Stocks are not paper. They are real shares of trading companies. They are not much different from a cotton purchase contract."

The three provinces of Jiangsu, Zhejiang, and Shandong are all cotton-producing areas. Local merchants purchase cotton in advance. Since cotton has been in short supply in recent years, this pre-purchase contract has been completed for futures.

Businessmen in the county are responsible for purchasing and signing contracts. They only need to pay a small deposit and then sell them to big businessmen in the state capital at a higher price. The big businessmen in the state capital sat together and jointly controlled the cotton price according to the weather conditions in the coming year, and resold the cotton purchase contract price to the textile mills.

Cotton farmers still get the same amount of money, but the cotton has been resold twice.

Wu Yingji said: "Short selling of cotton purchase contracts, regardless of profit or loss, is a matter between merchants. But this stock has something to do with Sheng Dou Xiaomin!"

Fei Chun sighed: "Well, stocks can make more money flow. I have also read your Economic Theory. The benefits of money flow can completely outweigh the disadvantages of stocks. Apart from stocks, When planting something, you should not think about how to ban it, but how to control it. Wouldn’t it be nice to use the taxes collected from buying and selling stocks along the coast to build bridges and pave roads inland?”

Wu Yingji did not immediately refute, but weighed the pros and cons.

The other ministers looked at the emperor. It was the first time for many of them to hear about stocks.

Zhao Han has made public the secret note sent by Zheng Sen. This is the only information available on the stock, and it's difficult to make a judgment call in the short term, and none of the current speakers have thought it through.

Finally Zhao Han spoke: "Like cotton pre-purchase contracts, these are called 'futures'. Futures and stock certificates must be printed uniformly by the Ministry of Finance, and the information must be filled in the blanks during specific transactions. In Guangzhou, Shanghai, and Dengzhou , establish a stock exchange. Futures and stock transactions must be conducted within the exchange, and private transactions are not recognized by the government. Both futures and stock transactions are subject to taxes. The specific amount to be levied will be set by the Ministry of Finance on a trial basis. , and then adjust it according to the situation of the exchange.”

The three major exchanges, Guangzhou and Shanghai, are easy to understand. Why is there another one in Dengzhou?

Because Dengzhou is the largest trade port in the north, most ships from Shandong to Liaoning, North Korea, and Japan depart from Dengzhou. At the same time, Shandong is the largest cotton-producing area in the country, and cotton futures trading here is the most frequent.

Zhao Han continued: "In order to prevent people from wantonly manipulating securities prices, strict regulations need to be implemented!"

"First, we must determine the daily trading time. The opening of the transaction is the opening, and the closing of the transaction is the closing. The price of the first order at the opening is the opening price, and the price of the last minute of closing is the closing price."

"Second, the exchange must have traders. For all securities transactions, buyers must fill out a subscription form and submit it to the trader for transaction. When taxing, the completed subscription form will be used as a certificate."

"Third, the securities subscription form must fill in the quotation. Before the opening of the day, bid half an hour in advance, fill in and submit the subscription form. In the first 10 minutes, you can cancel the order; in the middle 10 minutes, you are not allowed to cancel the order; in the last 10 minutes, you are not allowed You are not allowed to apply for a transaction even if you cancel the order. Traders must rewrite the price on the blackboard at any time and make it public so that buyers can know the details."

"Fourth, the party selling securities must also submit a sales review. In the future, securities transactions will no longer be one seller versus one buyer, but a group of sellers versus a group of buyers. Traders will match the buy and sell orders, and the buying and selling prices The same application can be effective immediately.”

"Fifth, if the security price rises or falls by more than 15% in a single day, the security must stop trading and be repriced the next day."

"Sixth, trading companies that issue stocks to the public must be strictly audited to prevent people from maliciously amassing money."

When the six rules were uttered, the ministers were confused and couldn't even understand many professional terms.

Zhao Han also knew little about securities trading, so it was not easy to say this. More rules must be added in actual operation. We must believe in the wisdom of the public. They will make up for it or take advantage of loopholes, and then force the court to make changes.

Before the ministers could return home, Zhao Han immediately said: "Datong Bank will be dismantled and split into the central bank and commercial banks. Official tickets, military tickets, silver coins, and copper coins will all be issued and managed by the central bank, and commercial banks and private banks will also Managed by the central bank..."

"Reorganize private bank accounts and banks, and rename them all banks from now on. Private private banks must pay reserves to the central bank. The cash in bank inventory must be handed over to the central bank for safekeeping in proportion. This money is called reserves. If a private bank encounters a run, if the funds are insufficient, it can apply to use reserves to pay. Once a bank uses reserves, it must be strictly investigated afterwards, and the bank license will be revoked for those who have operational difficulties."

"The ratio of reserves can be adjusted at any time, but it must not be lower than 20%. Prevent private banks from absorbing too many deposits and lending them all to trading companies. If there is a run, there will be no money to give to the people!"

"Your Majesty is wise!" Fei Chun shouted immediately.

The proposal for the reserve fund was made by his cronies.

Private banks have used interest to absorb deposits since the Zhengde and Jiajing years. This is due to the rapid development of the commodity economy.

After the establishment of the New Dynasty of Datong, industry and commerce prospered rapidly, and people's savings also increased. In this way, the banking industry prospered, business owners needed money to expand investment, and ordinary people wanted to save money and earn interest, and the two sides hit it off.

The number of banks and bank accounts has increased rapidly. The court has rectified the problems, but they cannot keep up with the development in recent years.

Private banks and bank accounts play wildly in order to make profits.

During the customs rectification in the past few years, many maritime merchants were involved in the case and went bankrupt because they could not afford to pay huge fines. As for the banks and bank accounts that lent them money, due to the large amount of loans they could not recover, more than one bank suffered a run after the news broke. As a result, banks closed down and people could not get their deposits back.

In addition, Datong Bank has too much power, and its scope of intervention is too wide, causing a lot of chaos.

Taking advantage of the opportunity of the establishment of the stock exchange, Datong Bank was split up, the powers and responsibilities of the central bank and commercial banks were clarified, and very irregular private banks were rectified.

The Banking Regulatory Commission and the China Securities Regulatory Commission should also be established accordingly.

After the imperial meeting, many ministers still didn't understand it and asked Fei Chun, Wu Yingji and other professionals about the situation.

Two months have passed and various details have been drawn up. For example, 35% of people's savings deposits must be set aside as reserves and handed over to the central bank for safekeeping. For corporate deposits, only 20% of the reserves are required.

The decree was issued, and all over the country, chickens and dogs were jumping.

More than 20% of the banks and ticket companies simply cannot provide enough reserves. The deposits they collected were loaned out in an instant because there were too many companies in need of money.

For such banks, there is a three-month deadline for rectification. If we can come up with reserves, we can change the name to a bank and issue a license. If you can't come up with reserves, then sorry, don't do banking business in the future.

Bank practitioners complained, saying that the imperial court was plundering people's wealth.

But in the face of a strong government, they can only complain and have no courage to resist at all.

After this rectification, Datong China's banking industry is on the right track, and banks and bank accounts have become a thing of the past.

In the winter of this year, the three major exchanges officially opened.

The first people to be happy were the cotton textile factory owners. They are finally no longer subject to cotton suppliers. In the past, they were subject to arbitrary price increases. In the future, they will be able to buy cotton on the exchange. Although it is still controlled by people, the space for black box operations is smaller, and most of them can be placed on the table.

Those porcelain suppliers in Jiangxi were already engaged in porcelain futures, but now they are required to do so only on the exchange.

What is even more gratifying is that small and medium-sized maritime merchants have a clearer supply of goods. They can know it at a glance at the exchange. If large merchants want to monopolize the supply of goods, they have to spend real money on them, and they can't do anything secretly in the clouds.

Everyone is half-aware of this stuff. Even before the exchange opens, many people come to inquire about it.

There are also many companies asking about the rules for listing and issuing shares, and they also want to issue shares to obtain funds.

Even merchants from Sichuan and Shaanxi areas went to the coast to inquire about the situation. The economy of these areas is not as active as the coastal provinces. Many old wealthy people have hid their money in cellars, but now they want to participate in securities trading because they have heard that this can make money.

On the day the three major exchanges opened, there were not many stocks and futures types, but investors crowded the exchanges.